14 September 2012

AIRSHOW-Airlines grapple with food vs biofuel debate

While technology is there, getting the investment for large volumes is tricky

Airlines battling to cut costs and pollution may not find a quick fix in biofuels, as concerns grow that using feedstocks to create an alternative to kerosene will push food prices higher. The European Union plans to impose a limit on the use of crop-based biofuels, in a major shift in the region’s much-criticised biofuel policy, according to draft legislation seen by Reuters.

The policy U-turn comes after studies cast doubt on the carbon dioxide emissions savings from using crop-based fuels, and following a poor harvest in key grain growing regions that pushed up prices and revived fears of food shortages.